Maybe I`m living in La La land, but under other circumstances, a company downgraded by GS and JP should have dropped like a rock. I think we`ve hung in there quite well actually. Hoping SSS numbers are anywhere near decent for March.
Well put. With EPS at 2.72 at end of Q4 it's possible we could be at 3.25-3.30$ by the end of this year (a mere 8 months) the shares would have a conservative value of 50$ under those circumstances. Dividends and and/or a split would just be icing on the cake. I'll take numbers like we have here in this market environment!
The mighty Goldman Sachs and JP Morgan can't keep this company's stock from reaching its relative value to its peers. Stock hit 38.30 this morning, with strong momentum, could see $39 or $40 by end of the week. You can't trust GS and JP, they know strikingly little about the real value in this company and its brands; they're playing for short-sellers; not long-term investors. At 13 P/E, this company is really trading at a massive discount; the stock should be closer to $41 per share, relative to its peers. The deep-discount value investors see a company with $157 million in cash, no debt, and quarterly earnings growth of 22 percent. At that growth rate, a 13 P/E will drop to 10 P/E in less than a year. ANF is trading at 20 P/E and lost money in first half of 2009 during the recession; while BKE was posting positive same-store comps; and increasing its earnings per share with double-digit growth. Think about it. It's obvious the patient investor already thought long and hard about this and determined this is a no-brainer. BUY and BKE and hold on; this company doesn't need help from biased analysts. The results speak for themselves.